SGL Carbon’s consolidated sales in the first half of 2026 totaled €394.2 million, down 13.0% from the prior year (H1 2025: €453.2 million). On the one hand, this is attributable to the loss of sales from the discontinuation of unprofitable business activities as part of the restructuring of the carbon fiber business in mid-2025. On the other hand, lower demand in the Graphite Solutions business unit and the challenging order situation in Process Technology weighed on sales development in the first six months of 2026. By contrast, compensation payments of €28.7 million recognized in income, related to contractual purchase obligations arising from contract adjustments with semiconductor customers, had a positive effect.
In the first half of 2026, SGL Carbon generated adjusted EBITDA of €69.8 million, representing a slight decline of 3.7% (H1 2025: €72.5 million). Adjusted EBITDA was negatively impacted in particular by the decline in high-margin sales in the Process Technology business unit. In contrast, the compensation payments described above resulting from the adjustment of existing supply contracts with Graphite Solutions customers (Q1: €7.7 million; Q2: €21.0 million) had a positive effect on adjusted EBITDA. The adjusted EBITDA margin, including the received compensation payments, improved from 16.0% to 17.7% in the first half of 2026.
"Despite the continuing challenging market environment, SGL Carbon is on track to achieve its 2026 targets. In addition, with our ‘SGL Growth 2030’ strategy, we are consistently focusing the company on profitable and high-growth target markets such as semiconductors, power generation, defense, and aerospace. Meetings with customers over the past few weeks have shown that we have the right materials and solutions to successfully serve these markets,” explains Andreas Klein, CEO of SGL Carbon.
With depreciation and amortization of minus €24.2 million (H1 2025: minus €25.8 million), adjusted EBIT came in at €45.6 million, only slightly below the first half of the previous year (H1 2025: €46.7 million). Due to significantly lower restructuring expenses of minus €3.9 million (H1 2025: minus €47.0 million), EBIT rose to €40.5 million (H1 2025: minus €3.2 million). As aresult, a positive consolidated net income of €11.8 million was once again achieved in the first half of 2026 (H1 2025: minus €31.4 million).
Development of the business units
SGL’s largest business segment, Graphite Solutions (GS), generated sales of €234.1 million in the first half of 2026, up 5.9% from the same period last year (H1 2025: €221.0 million). Included in sales are compensation payments recognized in income resulting from the adjustment of existing supply contracts with semiconductor customers in the amount of €28.7 million. Among others, these payments offset the customers’ contractually agreed purchase obligations to SGL. SGL Carbon had already indicated in recent months its intention to work in partnership with its semiconductor customers to help to reduce their inventory levels and paving the way for future collaboration.
GS’s sales development in the first half of 2026, including compensation payments, had a positive impact on the business segment’s adjusted EBITDA, which improved by 14.2% to €46.6 million (H1 2025: €40.8 million). When comparing half-year figures, it should be noted that, during the reporting period, earnings from adjustments to customer contracts - which originally pertained to the entire fiscal year - were brought forward to the first half of 2026. Slightly higher price pressure and rising raw material prices had a negative impact on GS’s adjusted EBITDA. Due to the developments described above, the adjusted EBITDA margin rose to 19.9% on a half-year-over-half-year basis (H1 2025: 18.5%).
The Process Technology (PT) business unit reported a 28.2% decline in sales to €50.4 million in the first half of 2026 (H1 2025: €70.2 million). This is primarily due to cautious order placement by chemical industry customers, PT’s most important market segment. Rising energy prices, high labor costs, and regulatory requirements are prompting many chemical companies to postpone investment projects. In addition, lower capacity utilization is leading to the suspension of maintenance and replacement investments as well.
The decline in sales is also reflected in the development of adjusted EBITDA, which fell significantly from €19.9 million to €7.3 million on a year-on-year basis. In addition to volume effects, lower selling prices weighed on PT’s adjusted EBITDA. As a result, the adjusted EBITDA margin declined to 14.5% (H1 2025: 28.3%). It should be noted that the first half of the previous year was still characterized by the delivery of large high-margin projects.
Sales in the Fiber Composites (FC) business unit - formed by the merger of the former Carbon Fibers and Composite Solutions segments - totaled €99.4 million in the first half of 2026, falling, as expected, below the €152.6 million recorded in the same period of 2025. The decline of €53.2 million is primarily attributable to the discontinuation of loss-making business activities as part of the Carbon Fibers restructuring in mid-2025.
In terms of results, the new Fiber Composites business unit performed very well. The significant cost reductions resulting from the restructuring of the carbon fiber business, along with the changed product mix, led to an improvement in adjusted EBITDA of €8.3 million to €18.9 million in the first half of 2026 (H1 2025: €10.6 million). The joint venture Brembo SGL Carbon Ceramic Brakes (BSCCB), accounted for using the equity method, contributed €7.4 million (H1 2025: €4.7 million) to FC’s adjusted EBITDA. Accordingly, the adjusted EBITDA margin increased from 6.9% to 19.0%.
Debt, Equity, and Investments
SGL Carbon’s balance sheet structure remains very solid as of June 30, 2026. Net financial debt decreased from €98.9 million at the end of 2025 to €79.3 million. Consequently, the debt ratio fell to 0.6 (December 31, 2025: 0.7). The equity ratio remained nearly constant at 39.7% (December 31, 2025: 39.2%).
Capital expenditures in the first half of 2026 totaled €19.6 million, which was below depreciation and amortization of €24.5 million.
Outlook
The ongoing armed conflict in the Middle East increases the risk of a further slowdown in global and regional economic growth. In particular, a prolonged disruption affecting the Strait of Hormuz - a key trade route - could impact the availability of raw materials and fossil fuels or cause further price increases. Overall, the 2026 fiscal year will be marked by increased uncertainty in many of our sales markets, which will affect our customers’ demand and investment decisions.
Assuming that the economic and geopolitical situation does not deteriorate further as well as based on our business performance in the first half of 2026 and our expectations for the coming six months, we continue to expect to meet our full-year 2026 guidance.
For fiscal year 2026, we expect consolidated sales of between €720 million and €770 million and adjusted EBITDA of between €110 million and €130 million.
Further details on business performance in the first half of 2026 can be found in the half-year report.
